Disposition of Property Policy

Disposition of Property Policy
ADOPTED PURSUANT TO SECTION 2896 OF THE PUBLIC AUTHORITIES LAW

SECTION 1.
DEFINITIONS

1. “Contracting officer” shall mean the President and CEO or other designee of the Fulton County Center for Regional Growth (hereinafter, “CRG”) who shall be appointed by resolution to be responsible for the disposition of property.
2. “Dispose” or “disposal” shall mean transfer of title or any other beneficial interest in personal or real property in accordance with section 2897 of the Public Authorities Law.
3. “Property” shall mean personal property in excess of five thousand dollars ($5,000) in value, and real property, and any inchoate or other interest in such property, to the extent that such interest may be conveyed to another person for any purpose, excluding an interest
   securing a loan or other financial obligation of another party.

SECTION 2.
DUTIES

1. CRG shall:
   (i) maintain adequate inventory controls and accountability systems for all property
   owned by CRG and under its control;
   (ii) periodically inventory such property to determine which property shall be disposed
   of;
   (iii) produce a written report of such property in accordance with subsection B herewith;
   and
   (iv) transfer or dispose of such property as promptly and practicably as possible in
   accordance with Section 3 below.
2. CRG shall:
   (i) publish, not less frequently than annually, a report listing all real property owned in
   fee by CRG. Such report shall consist of a list and full description of all real and personal
   property disposed of during such period. The report shall contain the price received by CRG and
   the name of the purchaser for all such property sold by CRG during such period; and
   (ii) shall deliver copies of such report to the Comptroller of the State of New York, the Director of the Budget of State of New York, the Commissioner of the New York State Office of General Services, and the New York State Legislature (via distribution to the majority leader of
   the senate and the speaker of the assembly).

SECTION 3.
TRANSFER OR DISPOSITION OF PROPERTY

1. Supervision and Direction. Except as otherwise provided herein, the duly appointed contracting officer (the “Contracting Officer”) shall have supervision and direction over the disposition and sale of property of CRG. CRG shall have the right to dispose of its property for
   any valid corporate purpose.
2. Custody and Control. The custody and control of Agency property, pending its disposition, and the disposal of such property, shall be performed by CRG or by the Commissioner of General Services when so authorized under this section.
3. Method of Disposition. Unless otherwise permitted, CRG shall dispose of property for not less than its fair market value by sale, exchange, or transfer, for cash, credit, or other property, with or without warranty, and upon such other terms and conditions as CRG and/or contracting officer deems proper. CRG may execute such documents for the transfer of title or other interest in property and take such other action as it deems necessary or proper to dispose of such property under the provisions of this section. Provided, however, no disposition of real
   property, any interest in real property, shall be made unless an appraisal of the value of such property has been made by an independent appraiser and included in the record of the transaction and provided further that no disposition of any other property which because of its
   unique nature or the unique circumstances of the proposed transaction is not readily valued by reference to an active market for similar property, shall be made without a similar appraisal.
4. Sales by the Commissioner of General Services (the “Commissioner”). When CRG shall have deemed that transfer of property by the Commissioner will be advantageous to the State of New York, CRG may enter into an agreement with the Commissioner of pursuant to which
   Commissioner may dispose of property of CRG under terms and conditions agreed to by CRG and the Commissioner. In disposing of any such property, the Commissioner shall be bound by the terms hereof and references to the contracting officer shall be deemed to refer to such
   Commissioner.
5. Validity of Deed, Bill of Sale, Lease, or Other Instrument. A deed, bill of sale, lease, or other instrument executed by or on behalf of CRG, purporting to transfer title or any other interest in property of CRG in accordance herewith shall be conclusive evidence of compliance
   with the provisions of these guidelines and all applicable law insofar as concerns title or other interest of any bonafide grantee or transferee who has given valuable consideration for such title or other interest and has not received actual or constructive notice of lack of such compliance prior to the closing.
6. Bids for Disposal; Advertising; Procedure; Disposal by Negotiation; Explanatory Statement.
   (i) Except as permitted by all applicable law, all disposals or contracts for disposal of
   property made or authorized by CRG shall be made after publicly advertising for bids except as provided in subsection (iii) of this Section F.
   (ii) Whenever public advertising for bids is required under subsection (i) of this Section F:
   (A) the advertisement for bids shall be made at such time prior to the disposal or contract, through such methods, and on such terms and conditions as shall permit full and free competition consistent with the value and nature of the property proposed for disposition;
   (B) all bids shall be publicly disclosed at the time and place stated in the
   advertisement; and
   (C) the award shall be made with reasonable promptness by notice to the responsible bidder whose bid, conforming to the invitation for bids, will be most advantageous to CRG, price and other factors considered; provided, that all bids may be rejected at CRG discretion.
   (iii) Disposals and contracts for disposal of property may be negotiated or made by public auction without regard to subsections (i) and (ii) of this Section F but subject to obtaining such
   competition as is feasible under the circumstances, if:
   (A) the personal property involved has qualities separate from the utilitarian purpose of such property, such as artistic quality, antiquity, historical significance, rarity, or other quality of similar effect, that would tend to increase its value, or if the personal property is to be sold in such quantity that, if it were disposed of under subsections (i) and (ii) of this Section F, would adversely affect the state or local market for such property, and the estimated fair market value of such property and other satisfactory terms of disposal can be obtained by negotiation;
   (B) the fair market value of the property does not exceed fifteen thousand dollars;
   (C) bid prices after advertising therefore are not reasonable, either as to all or some
   part of the property, or have not been independently arrived at in open competition;
   (D) the disposal will be to the state or any political subdivision or public benefit
   corporation, and the estimated fair market value of the property and other satisfactory terms
   of disposal are obtained by negotiation;
   (E) under those circumstances permitted by subsection (v) below; or (F) such action is
   otherwise authorized by law.
   (iv)(A) An explanatory statement shall be prepared of the circumstances of each disposal
   by negotiation of:
   (1) any personal property which has an estimated fair market value in excess of
   fifteen thousand dollars;
   (2) any real property that has an estimated fair market value in excess of one
   hundred thousand dollars, except that any real property disposed of by lease or exchange shall
   only be subject to clauses (3) and (4) of this subparagraph;
   (3) any real property disposed of by lease, if the estimated annual rent over the
   term of the lease is in excess of $15,000; or
   (4) any real property or real and related personal property disposed of by
   exchange, regardless of value, or any property any part of the consideration for which is real
   property.
   (B) Each such statement shall be transmitted to the persons entitled to receive copies
   of the report required under all applicable law not less than ninety (90) days in advance of such
   disposal, and a copy thereof shall be preserved in the files of CRG making such disposal.
   (v) Disposal of Property for less than Fair Market Value (“FMV”).
   (a) No assets owned, leased or otherwise in the control of CRG may be sold, leased, or
   otherwise alienated for less than its FMV except if:
   (1) Transferee is a government or public entity and terms of transfer require
   ownership and use to remain with the government or public entity; or
   (2) Purpose of transfer is within purpose, mission or statute of CRG; or
   (3) Written notification to Governor, Speaker, and Temporary President. Such notification is subject to denial. Denial by Governor is in the form of a certification. Denial by legislature is in the form of a resolution. Denial must be made within 60 days of receiving
   notification during January through June. Provided no denial then Agency may effectuate transfer. If legislature receives the notification in July through December, then legislature may take 60 days from January 1 of the following year. However, CRG may obtain local approval
   from the chief executive and legislature of the political subdivision in lieu of the notification to the Governor, Speaker and Temporary President provided CRG’s enabling legislation provides for such approval and the property was obtained by CRG from the political subdivision.
   (b) If below FMV transfer is proposed, the following information is required to be
   provided to the authority’s board and the public:
   (1) Description of Asset;
   (2) Appraisal of the FMV of the asset;
   (3) Description of purpose of transfer, the kind and amount ofthe benefit to the
   public resulting from the transfer such as jobs and wages created or preserved;
   (4) Value received compared to FMV;
   (5) Names of private parties to the transaction and value received;
   (6) Names of private parties that have made an offer, the value of offer, and purpose for which the asset would have been used.
   (c) Board must make a written determination that there is no reasonable alternative to the proposed below-market transfer that would achieve the same purpose of such transfer. The Guidelines are subject to modification and amendment at the discretion of CRG board and shall
   be filed annually with all local and state agencies as required under all applicable law. The designated Contracting Officer for CRG is its President and CEO